Singapore shares are likely to receive a hammering at the open, after the bloodbath on Wall Street last Fri on growing concerns over the Chinese economy.
Regional bourses are all seeing red this morning in Tokyo (-2.4%), Seoul (-0.5%) and Sydney (-1.9%).
From a chart perspective, the STI is expected to gap below its immediate support at 2,950 (Feb ’14 low) with the next line of defence at 2,920. If that gives way, then the index may head towards 2,680, representing the 50% Fibonacci retracement of the 2008/09 descent.
Stocks to watch:
*Property: The income ceiling for HDB flats will be raised from $10,000 to $12,000, while that for ECs will be raised from $12,000 to $14,000. The government will also be making changes to the Special CPF Housing Grant (SHG), by raising its eligible household income ceiling from $6,500 $8,500 and doubling the grant to $40,000.
*Oxley Holdings: 4Q15 net profit rose 70% y/y to $16.6m on stronger revenue of $193.8m (+134%), although FY15 net profit fell 79% to $60.9m and revenue ceded 35% to $701.8m, mainly due to the completion of industrial development, Oxley Bizhub. Gross margin narrowed 10.4 ppt to 29%. Bottom line was hit by an increase in interest, advertisement and showflat expenses. Management guided that unbilled revenue of $3.4b from sold units of 14 launched projects will ensure steady future cashflow over the near term and declared a higher final dividend of 0.41¢ (FY14:0.18¢). NAV/share at $0.16.
*Frasers Hospitality Trust: Purchased a 259-unit serviced residence property in Dalian for $100m, scheduled to open in 2017.The property will be part of the mixed-use Europark Tower development comprising a 100,000 sqm lifestyle shopping mall, designer offices and luxury residential apartments.The complex is located in the Donggang CBD and is within walking distance to Dalian Port and Davos Conference Centre.
*Hi-P: Commenced arbitration proceedings against Yota Devices for US$126m in respect of Yota’s breaches of agreements for amongst others, failure to make payment for the full minimum order quantity and firm forecast committed by Yota for the Yotaphone 2.
*Tianjin Zhong Xin Pharmaceutical: Two company directors are currently being investigated by the Tianjin Commission for discipline inspection into possible violations of Chinese laws and regulations.
*BreadTalk: Entered into a voluntary compliance agreement with CASE to commit itself to fair practices. The brand was recently hit by a scandal involving misrepresentation of its packaging.
*Annaik: Proposed renounceable non-underwritten 2-for-5 rights issue at $0.07 apiece, to raise net proceeds of $3.6m (min) - $7m (max), which will be used for potential investment in distribution and environmental business, repayment of bank borrowings and working capital.
*Spackman Entertainment: Appointed KGI Capital Asia for a proposed listing in HK for its HK business.
*Serial System: Proposed to acquire 21% of food manufacturer and caterer Tong Chiang Group for $4.5m, in a bid to obtain additional income streams.
*Profit warning:
- Alliance Minerals Assets
- CFM
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment